Japan may release data proving Chinese radar incident: media

TOKYO (Reuters) - Japan may release data it says will prove a Chinese naval vessel directed its fire control radar at a Japanese destroyer near disputed islands in the East China Sea, local media reported.

Japan has said a Chinese frigate on January 30 locked its targeting radar on a Japanese destroyer - a step that usually precedes the firing of weapons - but China insists that its vessel used only ordinary surveillance radar.

The incident has added to tensions between the two nations over the disputed islands.

Japan will consider how much normally classified data it can release, the media reports said, citing comments by Japan Defence Minister Itsunori Onodera on local television.

"The government is considering the extent of what can be disclosed," Kyodo news agency quoted Onodera as saying.

China has accused Japan of smearing its name with the accusations, and on Saturday, the official Xinhua news agency continued the war of words.

"By spreading false accusations and posing as a poor victim, Japan had intended to tarnish China's image so as to gain sympathy and support, but a lie does not help," it said in an English language commentary.

"China has been exercising maximum restraint and stayed committed to solving the dispute through dialogue and consultation."

Japan and China have been involved in a series of incidents in recent months in the East China Sea where Chinese and Japanese naval vessels regularly shadow each others movements.

Both countries claim a small clusters of islands, known as Diaoyu in China and Senkaku in Japan, believed to be rich in oil and gas. Controlled by Japan, possession of the uninhabited outcrops and the sea surrounding them would provide China with easier access to the Pacific.

Hopes had been rising for an easing in tensions, including a possible summit between Japanese Prime Minister Shinzo Abe and Chinese Communist Party chief Xi Jinping. But the radar issue has seen China and Japan engage in a fresh round of invective.

China's Defence Ministry on Thursday said Japan's complaints did not "match the facts". The Chinese ship's radar, it said, had maintained regular alerting and surveillance operations and the ship "did not use fire control radar".

Japan's position against China has hardened since Abe led his conservative party to a landslide election victory in December, promising to beef up the military and stand tough in territorial disputes.

The commander of U.S. forces in the Asia-Pacific said the squabble between Japan and China underlined the need for rules to prevent such incidents turning into serious conflict.

China also has ongoing territorial disputes with other Asian nations including Vietnam and the Philippines over islands in the South China Sea.

(Reporting by Tim Kelly; Additional reporting by Ben Blanchard in BEIJING; Editing by Michael Perry)

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Minka Kelly: 'I'm Not Worthy' of Acting with Oprah

By Jennifer Cress

02/08/2013 at 07:40 PM EST

Minka Kelly as Jacqueline Kennedy Onassis

Pacific Coast News

It's intimidating enough to play Jackie O, but Minka Kelly felt even more pressure to perform when she found out who was joining the cast of her latest film, The Butler.

"I'm not worthy. I feel so lucky and grateful. I was like, 'What am I doing here?!' " Kelly tells PEOPLE of starring alongside Robin Williams, Forest Whitaker, John Cusack, Vanessa Redgrave, Jane Fonda and more in the upcoming film, which tells the story of a butler who served eight presidents.

The movie also features another major star: the one and only Oprah Winfrey. "I didn't get to meet Oprah because our shooting schedules were different, but she's a pretty loved lady," Kelly says. "I have yet to hear a bad thing about her!"

Kelly found that the most difficult part of playing Jackie Kennedy was nailing the former first lady's distinct accent. "I think she spoke in a way she thought she should speak, so getting that down was hard. There's a musicality and rhythm to the way she speaks," Kelly explains. "I went to sleep listening to her."

Another tough task? Slipping into the retro costumes. "My body is so different from her because I have curves, so fitting into those vintage clothes was actually really hard," she shares. "Also it was hot – and there was a lot of wool!"

Jennifer Graylock / Getty

But Kelly had no issue slipping into the stunning Oscar de la Renta gown (left) she strutted down the runway in at the Red Dress Collection fashion show in N.Y.C. on Wednesday night. The actress walked for the second year in a row in honor of The Heart Truth campaign, which encourages women to monitor their heart health.

For the month of February, Diet Coke will donate $1 for every person who uploads a heart-inspired photo to Twitter or Instagram using the hashtag #showyourheart. Visit to dietcoke.com/showyourheart for more information.

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After early start, worst of flu season may be over

NEW YORK (AP) — The worst of the flu season appears to be over.

The number of states reporting intense or widespread illnesses dropped again last week, and in a few states there was very little flu going around, U.S. health officials said Friday.

The season started earlier than normal, first in the Southeast and then spreading. But now, by some measures, flu activity has been ebbing for at least four weeks in much of the country. Flu and pneumonia deaths also dropped the last two weeks, the Centers for Disease Control and Prevention reported.

"It's likely that the worst of the current flu season is over," CDC spokesman Tom Skinner said.

But flu is hard to predict, he and others stressed, and there have been spikes late in the season in the past.

For now, states like Georgia and New York — where doctor's offices were jammed a few weeks ago — are reporting low flu activity. The hot spots are now the West Coast and the Southwest.

Among the places that have seen a drop: Lehigh Valley Hospital-Cedar Crest in Allentown, Pa., which put up a tent outside its emergency room last month to help deal with the steady stream of patients. There were about 100 patients each day back then. Now it's down to 25 and the hospital may pack up its tent next week, said Terry Burger, director of infection control and prevention for the hospital.

"There's no question that we're seeing a decline," she said.

In early December, CDC officials announced flu season had arrived, a month earlier than usual. They were worried, saying it had been nine years since a winter flu season started like this one. That was 2003-04 — one of the deadliest seasons in the past 35 years, with more than 48,000 deaths.

Like this year, the major flu strain was one that tends to make people sicker, especially the elderly, who are most vulnerable to flu and its complications

But back then, that year's flu vaccine wasn't made to protect against that bug, and fewer people got flu shots. The vaccine is reformulated almost every year, and the CDC has said this year's vaccine is a good match to the types that are circulating. A preliminary CDC study showed it is about 60 percent effective, which is close to the average.

So far, the season has been labeled moderately severe.

Like others, Lehigh Valley's Burger was cautious about making predictions. "I'm not certain we're completely out of the woods," with more wintry weather ahead and people likely to be packed indoors where flu can spread around, she said.

The government does not keep a running tally of flu-related deaths in adults, but has received reports of 59 deaths in children. The most — nine — were in Texas, where flu activity was still high last week. Roughly 100 children die in an average flu season, the CDC says

On average, about 24,000 Americans die each flu season, according to the CDC.

According to the CDC report, the number of states with intense activity is down to 19, from 24 the previous week, and flu is widespread in 38 states, down from 42.

Flu is now minimal in Florida, Kentucky, Maine, Montana, New Hampshire and South Carolina.

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Online:

CDC: http://www.cdc.gov/flu/

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Stocks end higher for sixth straight week, tech leads

NEW YORK (Reuters) - The Nasdaq composite stock index closed at a 12-year high and the S&P 500 index at a five-year high, boosted by gains in technology shares and stronger overseas trade figures.

The S&P 500 also posted a sixth straight week of gains for the first time since August.

The technology sector led the day's gains, with the S&P 500 technology index <.splrct> up 1.0 percent. Gains in professional network platform LinkedIn Corp and AOL Inc after they reported quarterly results helped the sector.

Shares of LinkedIn jumped 21.3 percent to $150.48 after the social networking site announced strong quarterly profits and gave a bullish forecast for the year.

AOL Inc shares rose 7.4 percent to $33.72 after the online company reported higher quarterly profit, boosted by a 13 percent rise in advertising sales.

Data showed Chinese exports grew more than expected, a positive sign for the global economy. The U.S. trade deficit narrowed in December, suggesting the U.S. economy likely grew in the fourth quarter instead of contracting slightly as originally reported by the U.S. government.

"That may have sent a ray of optimism," said Fred Dickson, chief market strategist at D.A. Davidson & Co in Lake Oswego, Oregon.

Trading volume on Friday was below average for the week as a blizzard swept into the northeastern United States.

The U.S. stock market has posted strong gains since the start of the year, with the S&P 500 up 6.4 percent since December 31. The advance has slowed in recent days, with fourth-quarter earnings winding down and few incentives to continue the rally on the horizon.

"I think we're in the middle of a trading range and I'd put plus or minus 5.0 percent around it. Fundamental factors are best described as neutral," Dickson said.

The Dow Jones industrial average <.dji> ended up 48.92 points, or 0.35 percent, at 13,992.97. The Standard & Poor's 500 Index <.spx> was up 8.54 points, or 0.57 percent, at 1,517.93. The Nasdaq Composite Index <.ixic> was up 28.74 points, or 0.91 percent, at 3,193.87, its highest closing level since November 2000.

For the week, the Dow was down 0.1 percent, the S&P 500 was up 0.3 percent and the Nasdaq up 0.5 percent.

Shares of Dell closed at $13.63, up 0.7 percent, after briefly trading above a buyout offering price of $13.65 during the session.

Dell's largest independent shareholder, Southeastern Asset Management, said it plans to oppose the buyout of the personal computer maker, setting up a battle for founder Michael Dell.

Signs of economic strength overseas buoyed sentiment on Wall Street. Chinese exports grew more than expected in January, while imports climbed 28.8 percent, highlighting robust domestic demand. German data showed a 2012 surplus that was the nation's second highest in more than 60 years, an indication of the underlying strength of Europe's biggest economy.

Separately, U.S. economic data showed the trade deficit shrank in December to $38.5 billion, its narrowest in nearly three years, indicating the economy did much better in the fourth quarter than initially estimated.

Earnings have mostly come in stronger than expected since the start of the reporting period. Fourth-quarter earnings for S&P 500 companies now are estimated up 5.2 percent versus a year ago, according to Thomson Reuters data. That contrasts with a 1.9 percent growth forecast at the start of the earnings season.

Molina Healthcare Inc surged 10.4 percent to $31.88 as the biggest boost to the index after posting fourth-quarter earnings.

The CBOE Volatility index <.vix>, Wall Street's so-called fear gauge, was down 3.6 percent at 13.02. The gauge, a key measure of market expectations of short-term volatility, generally moves inversely to the S&P 500.

"I'm watching the 14 level closely" on the CBOE Volatility index, said Bryan Sapp, senior trading analyst at Schaeffer's Investment Research. "The break below it at the beginning of the year signaled the sharp rally in January, and a rally back above it could be a sign to exercise some caution."

Volume was roughly 5.6 billion shares traded on the New York Stock Exchange, the Nasdaq and the NYSE MKT, compared with the 2012 average daily closing volume of about 6.45 billion.

Advancers outpaced decliners on the NYSE by nearly 2 to 1 and on the Nasdaq by almost 5 to 3.

(Additional reporting by Angela Moon; Editing by Bernadette Baum, Nick Zieminski, Kenneth Barry and Andrew Hay)

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Tens of thousands mourn slain Tunisia opposition leader

TUNIS (Reuters) - Tens of thousands of Tunisians took to the streets amid scattered violence on Friday to mourn secular opposition leader Chokri Belaid, whose assassination has plunged Tunisia deeper into political crisis.

Braving chilly rain, at least 50,000 people turned out for Belaid's funeral in his home district of Jebel al-Jaloud in the capital, chanting anti-Islamist and anti-government slogans.

It was Tunisia's biggest funeral since the death of Habib Bourguiba, independence leader and first president, in 2000.

Tunisia, cradle of the Arab uprisings, is riven by tensions between dominant Islamists and their secular opponents, and by frustration at the lack of social and economic progress since President Zine al-Abidine Ben Ali was ousted in January 2011.

"The people want a new revolution," shouted mourners in Tunis, who also sang the national anthem.

Crowds surged around an open army truck carrying Belaid's coffin, draped in a red and white Tunisian flag, from a cultural center in Jebel al-Jaloud towards the leafy Jallaz cemetery, as a security forces helicopter flew overhead.

Police fired teargas and shots in the air to disperse youths who were smashing cars near the cemetery, forcing some mourners to run from the choking clouds. Police also used teargas against demonstrators outside the Interior Ministry.

"Belaid, rest in peace, we will continue the struggle," mourners chanted, holding portraits of the politician killed near his home on Wednesday by a gunman who fled on a motorcycle.

Some demonstrators denounced Rachid Ghannouchi, leader of the ruling Islamist Ennahda party. "Ghannouchi, assassin, criminal," they chanted. "Tunisia is free, terrorism out."

Police fired teargas to disperse anti-government protesters throwing stones and petrol bombs in the southern mining town of Gafsa, a stronghold of support for Belaid, witnesses said.

Crowds there had chanted "The people want the fall of the regime", a slogan first used against Ben Ali.

CRADLE OF REVOLT

In Sidi Bouzid, the southern town where the revolt against the ousted strongman began, about 10,000 marched to mourn Belaid and shout slogans against Ennahda and the government.

Banks, factories and some shops were closed in Tunis and other cities in response to a strike called by unions in protest at Belaid's killing, but buses were running normally.

Tunis Air suspended all its flights because of the strikes, a spokesman for the national airline said, adding that flights operated by other airlines were not affected.

However, airport sources in Cairo said Egypt's national airline EgyptAir had canceled two flights to Tunisia after staff at Tunis airport joined the general strike.

After Belaid's assassination, Prime Minister Hamdi Jebali, an Islamist, said he would dissolve the government and form a cabinet of technocrats to rule until elections could be held.

But his own Ennahda party and its secular coalition partners complained they had not been consulted, casting doubt over the status of the government and compounding political uncertainty.

No one has claimed responsibility for the killing of Belaid, a lawyer and secular opposition figure.

His family have blamed Ennahda but the party has denied any hand in the shooting. Crowds have attacked several Ennahda party offices in Tunis and other cities in the past two days.

"Hope still exist in Tunisia," Fatma Saidan, a noted Tunisian actor, told Reuters at Belaid's funeral. "We will continue to struggle against extremism and political violence."

She called for national unity, saying: "We are ready to accept Islamists, but they don't accept us."

SECULAR SYMBOL

While Belaid had only a modest political following, his criticism of Ennahda policies spoke for many Tunisians who fear religious radicals are bent on snuffing out freedoms won in the first of the revolts that rippled through the Arab world.

Secular groups have accused the Islamist-led government of a lax response to attacks by ultra-orthodox Salafi Islamists on cinemas, theatres and bars in recent months.

The economic effect of political uncertainty and street unrest could be serious in a country which has yet to draft a new constitution and which relies heavily on the tourist trade.

Mohamed Ali Toumi, president of the Tunisian Federation of Travel Agencies, described the week's events as a catastrophe that would have a negative impact on tourism, but he told the national news agency TAP no cancellations had been reported yet.

France, which had already announced the closure of its schools in Tunis on Friday and Saturday, urged its nationals to stay clear of potential flashpoints in the capital.

"Unless unavoidable, it is best to stay away from the city center today, and steer clear of demonstrations and major road crossings or sensitive buildings," said Helene Conway-Mouret, minister in charge of French people living abroad.

The Austrian foreign ministry issued a similar warning.

The cost of insuring Tunisian government bonds against default rose to its highest level in more than four years on Thursday and ratings agency Fitch said it could further downgrade Tunisia if political instability continues or worsens.

(For an interactive look at Tunisia please click on http://link.reuters.com/tub85t )

(Additional reporting by Alexander Dziadosz in Cairo, Brian Love in Paris and Michael Shields in Vienna; Editing by Andrew Heavens)

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American Idol: Early Favorites Eliminated in Hollywood

TV Watch

American Idol

By Steve Helling

02/07/2013 at 10:30 PM EST

From left: Randy Jackson, Mariah Carey, Ryan Seacrest, Nicki Minaj and Keith Urban

Michael Becker/FOX.

At the beginning of Thursday's American Idol, there were 43 men left in the competition. The next hour was a bloodbath, with many tears and a few tantrums – as well as some standout performances. Curtis Finch Jr., for example, performed a version of Christina Perri's "Jar Of Hearts" that was arguably the strongest of the evening. It may be the season's most overdone song, yet Finch successfully infused it with a rising gospel vibe.

Like every reality show, the contestants learned valuable life lessons as they fought to stay in the game. Here are five:

1. Never Let Them See You Sweat
Paul Jolley looked like he was going to throw up when he took the stage. "I'm so nervous," he said as he fought back tears. The judges watched quietly as he pulled himself together and gave a strong performance of Carrie Underwood's "Blown Away." He advanced, but not before Nicki Minaj criticized him for showing his nerves. "You walked out so defeated and that really irritated me," she said. "Just give us one minute of professionalism."

2. Be Funny and Unexpected
Admit it: It was kind of funny watching Gurpreet Singh Sarin nail "Georgia On My Mind." The judges liked him, perhaps because he doesn't fit any mold. Neither does Charlie Askew, who worked his quirky awkwardness into an intriguing version of Gotye's "Somebody that I Used To Know," complete with a spoken-word intro. "I am obsessed with you," Minaj said, prompting Askew to respond, "Baby, I could say the same thing." She ate it up.

3. Too Much of A Good Thing Can Be Lethal
Matheus Fernandes, one of the standouts from the Los Angeles auditions, was eliminated after a shaky rendition of Kelly Clarkson's "Stronger." The 4'9" contestant made one too many self-depreciating comments about his height, prompting Minaj to say, "Sometimes things can go from being inspiring to becoming you wanting a pity party." When Carey called him a "good person," his face said it all – Fernandes knew he wouldn't be advancing to the next round. In contrast, Lazaro Arbos said nary a word about his stutter, yet he advanced easily, despite an unspectacular rendition of Lady Gaga's "Edge of Glory."

4. If You Lose, Lose Gracefully
The night's "Sour Grapes Award" goes to Papa Peachez, who performed a karaoke-worthy version of Gaga's "Yoü and I." Minaj was unimpressed. "I'm so disappointed," she said. "I don't know why you chose that song." After he was eliminated, Peachez decided he didn't want to win American Idol, after all. "This isn't the competition for me," he said. "I just don't like singing other people's songs."

5. Big Risks Can Reap Big Rewards
Nick Boddington was eliminated in Las Vegas last season, so he came back determined to take some risks. He accompanied himself on the piano while singing Grace Potter's "Stars." It was a strong performance that the judges loved.

After the dust settled, 28 contestants remained. The judges corralled them onto the stage and announced that they would eliminate eight more male contestants next week, after the ladies' auditions.

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Southern diet, fried foods, may raise stroke risk

Deep-fried foods may be causing trouble in the Deep South. People whose diets are heavy on them and sugary drinks like sweet tea and soda were more likely to suffer a stroke, a new study finds.

It's the first big look at diet and strokes, and researchers say it might help explain why blacks in the Southeast — the nation's "stroke belt" — suffer more of them.

Blacks were five times more likely than whites to have the Southern dietary pattern linked with the highest stroke risk. And blacks and whites who live in the South were more likely to eat this way than people in other parts of the country were. Diet might explain as much as two-thirds of the excess stroke risk seen in blacks versus whites, researchers concluded.

"We're talking about fried foods, french fries, hamburgers, processed meats, hot dogs," bacon, ham, liver, gizzards and sugary drinks, said the study's leader, Suzanne Judd of the University of Alabama in Birmingham.

People who ate about six meals a week featuring these sorts of foods had a 41 percent higher stroke risk than people who ate that way about once a month, researchers found.

In contrast, people whose diets were high in fruits, vegetables, whole grains and fish had a 29 percent lower stroke risk.

"It's a very big difference," Judd said. "The message for people in the middle is there's a graded risk" — the likelihood of suffering a stroke rises in proportion to each Southern meal in a week.

Results were reported Thursday at an American Stroke Association conference in Honolulu.

The federally funded study was launched in 2002 to explore regional variations in stroke risks and reasons for them. More than 20,000 people 45 or older — half of them black — from all 48 mainland states filled out food surveys and were sorted into one of five diet styles:

—Southern: Fried foods, processed meats (lunchmeat, jerky), red meat, eggs, sweet drinks and whole milk.

—Convenience: Mexican and Chinese food, pizza, pasta.

—Plant-based: Fruits, vegetables, juice, cereal, fish, poultry, yogurt, nuts and whole-grain bread.

—Sweets: Added fats, breads, chocolate, desserts, sweet breakfast foods.

—Alcohol: Beer, wine, liquor, green leafy vegetables, salad dressings, nuts and seeds, coffee.

"They're not mutually exclusive" — for example, hamburgers fall into both convenience and Southern diets, Judd said. Each person got a score for each diet, depending on how many meals leaned that way.

Over more than five years of follow-up, nearly 500 strokes occurred. Researchers saw clear patterns with the Southern and plant-based diets; the other three didn't seem to affect stroke risk.

There were 138 strokes among the 4,977 who ate the most Southern food, compared to 109 strokes among the 5,156 people eating the least of it.

There were 122 strokes among the 5,076 who ate the most plant-based meals, compared to 135 strokes among the 5,056 people who seldom ate that way.

The trends held up after researchers took into account other factors such as age, income, smoking, education, exercise and total calories consumed.

Fried foods tend to be eaten with lots of salt, which raises blood pressure — a known stroke risk factor, Judd said. And sweet drinks can contribute to diabetes, the disease that celebrity chef Paula Deen — the queen of Southern cuisine — revealed she had a year ago.

The National Institute of Neurological Disorders and Stroke, drugmaker Amgen Inc. and General Mills Inc. funded the study.

"This study does strongly suggest that food does have an influence and people should be trying to avoid these kinds of fatty foods and high sugar content," said an independent expert, Dr. Brian Silver, a Brown University neurologist and stroke center director at Rhode Island Hospital.

"I don't mean to sound like an ogre. I know when I'm in New Orleans I certainly enjoy the food there. But you don't have to make a regular habit of eating all this stuff."

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Marilynn Marchione can be followed at http://twitter.com/MMarchioneAP

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Euro near two-week low, shares up on rekindled rate cut hopes

LONDON (Reuters) - European shares rose and the euro hovered near a two-week low on Friday after the European Central Bank rekindled expectations that it could cut interest rates again.

Strong Chinese trade data also helped lift optimism about global growth prospects, boosting oil, copper and Asian shares, while the yen rose sharply after Japan's finance minister said the currency's recent drop had been overdone.

The ECB left rates at a record low 0.75 percent on Thursday but the bank's President Mario Draghi levered the door to a cut back open by saying it would monitor whether the euro's rise over recent months could push inflation below its comfort zone.

European shares were enjoying their best session of an otherwise low-key week as midday approached, on the hopes lower borrowing rates -- or at least the threat of them -- would reverse some of the 8 percent trade-weighted rise in the euro since August.

"The ECB had quite an impact on the euro-dollar and the positive Chinese data we have had has helped shares," said ABN Amro economist Aline Schuiling.

"Draghi signaled quite clearly yesterday that with the rise in the euro, the risks to price stability are to the downside. We expect the dollar to continue to strengthen, but if that reverses then markets would price in a rate cut."

London's FTSE 100 <.ftse>, Paris's CAC-40 <.fchi> and Frankfurt's DAX <.gdaxi> were up 0.5, 0.6 and 0.2 percent respectively by 1100 GMT pushing the pan-European FTSEurofirst 300 <.fteu3> up 0.5 percent, though it was still on course for its second consecutive weekly fall.

U.S. stock futures pointed to a steady start on Wall Street.<.n/>

Draghi said the euro's recent surge was a sign of a return of confidence, but cautioned: "We certainly want to see whether the appreciation is sustained and will alter our risk assessment as far as price stability is concerned."

The comments saw the currency tumble to $1.33705, the lowest since January 25, although a modest mid-morning rebound lifted it back to $1.3404. It had earlier also hit a two-week low against sterling and a one-week low versus the yen.

The yen, the other key focus of foreign exchange markets following the push by Japan's government to ease monetary policy, rose sharply after the country's finance minister said the currency's recent drop had been overdone.

The euro fell 1.5 percent against the yen to 123.54 yen with traders reporting selling by Asian funds. The dollar shed 1 percent to hit a session low of 92.17 yen as a U.S.-based investor sold the greenback.

HAPPY CHINESE NEW YEAR

Helping to bolster strengthening global growth hopes, China said its exports grew 25 percent in January from a year ago, the strongest showing since April 2011 and well ahead of market expectations, while imports also beat forecasts, surging 28.8 percent on the year.

It lifted commodities, including copper, which ended a four day losing streak. Brent crude oil edged towards $118 per barrel.

Brent has gained over the last three weeks as positive data suggested the global economy had turned a corner, which augurs well for fuel demand, while supply worries stemming from tensions in the Middle East have also supported prices.

Earlier MSCI's broadest index of Asia-Pacific shares outside Japan <.miapj0000pus> added 0.3 percent and Australian shares rallied 0.7 percent to 34-month highs. Chinese markets are closed next week for the Lunar New Year holiday, while Hong Kong will resume trading on Thursday. Despite Friday's rises, MSCI's world equity index <.miwd00000pus> was on course for a weekly fall of about one percent, which would be its biggest drop since November and the first weekly decline of 2013.

However, the global index is still up four percent for the year to date and is not far from its best levels since mid-2008.

"China's economic conditions are improving and the trade data confirms the continuation of a recovery trend. Not just the trade data but retail, production and investment flows clearly show that the economy bottomed out in the third quarter last year," said Hirokazu Yuihama, a senior strategist at Daiwa Securities in Tokyo.

BANK REPAYMENTS

Money markets rates reversed some of their recent gains following Draghi's insistence that the ECB's policy will remain accommodative.

The central bank also said on Friday that banks will return another 5 billion euros of its crisis loans next week, suggesting the initial flood of repayments has turned into a steady trickle.

In the bond market, benchmark German Bund futures continued to push higher as Draghi's cautious tone on the euro zone's economy underpinned demand for low risk assets.

Nagging concerns about political stability in Spain and Italy were piling pressure on higher-yielding peripheral bonds to the benefit of Bunds, overshadowing an Irish bank debt deal that will cut Dublin's borrowing costs over the next decade.

"On the 10-year Spanish bonds, we could go significantly above 5.50 percent and reach the 5.60 area and it can be quite fast and on the BTP 4.70-75 area could be reached as well," BNP Paribas strategist Patrick Jacq said.

But "On a longer-term view we still expect market friendly outcomes of the political issues and the setbacks offer some opportunities to enter long positions."

Spanish 10-year yields were last at 5.42 percent while equivalent Italian yields were about 1 basis point up at 4.58 percent.

(Additional reporting by Richard Hubbard and Emelia Sithole-Matarise; editing by Philippa Fletcher)

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Khamenei rebuffs U.S. offer of direct talks

DUBAI (Reuters) - Iran's highest authority, Ayatollah Ali Khamenei, on Thursday slapped down an offer of direct talks made by U.S. Vice President Joe Biden this week, saying they would not solve the problem between them.

"Some naive people like the idea of negotiating with America, however, negotiations will not solve the problem," Khamenei said in a speech to officials and members of Iran's air force carried on his official website.

"If some people want American rule to be established again in Iran, the nation will rise up to face them," he said.

"American policy in the Middle East has been destroyed and Americans now need to play a new card. That card is dragging Iran into negotiations."

Khamenei made his comments just days after Joe Biden said the United States was prepared to meet bilaterally with the Iranian leadership. "That offer stands but it must be real and tangible," Biden said in a speech in Munich.

With traditional fiery rhetoric, Khamenei lambasted Biden's offer, saying that since the 1979 revolution the United States had gravely insulted Iran and continued to do so with its threat of military action.

"You take up arms against the nation of Iran and say: 'negotiate or we fire'. But you should know that pressure and negotiations are not compatible and our nation will not be intimidated by these actions," he added.

Relations between Iran and the United States were severed in 1979 after the overthrow of Iran's pro-western monarchy and diplomatic meetings between officials have since been very rare.

ALL OPTIONS STILL "ON THE TABLE"

Currently U.S.-Iran contact is limited to talks between Tehran and a so-called P5+1 group of powers on Iran's disputed nuclear program which are to resume on February 26 in Kazakhstan.

Israel's Deputy Prime Minister Dan Meridor said he was skeptical the negotiations in Almaty could yield a result, telling Israel Radio that the United States needed to demonstrate to Iran that "all options were still on the table".

Israel, widely recognized to be the only nuclear power in the Middle East, has warned it could mount a pre-emptive strike on Iranian atomic sites. Israel sees its existence as directly threatened by the prospect of an nuclear-armed Iran, given Tehran's refusal to recognize the existence of the Jewish state.

"The final option, this is the phrasing we have used, should remain in place and be serious," said Meridor.

"The fact that the Iranians have not yet come down from the path they are on means that talks ...are liable to bring about only a stalling for time," he said.

Iran maintains its nuclear program is entirely peaceful but Western powers are concerned it is intent on developing a weapons program.

Many believe a deal on settling the nuclear issue is impossible without a U.S.-Iranian thaw. But any rapprochement would require direct talks addressing many sources of mutual mistrust that have lingered since Iran's 1979 Islamic Revolution and the subsequent U.S. embassy hostage crisis in Tehran.

Moreover, although his re-election last November may give President Barack Obama a freer hand to pursue direct negotiations, analysts say Iran's own presidential election in June may prove an additional obstacle to progress being made.

(Additional reporting by Dan Williams; Editing by William Maclean and Jon Boyle)

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Melissa McCarthy: It Was 'So Fun' to Look So Cheesy in Identity Thief

Stylewatch
Style News Now

02/05/2013 at 05:30 PM ET

Universal Pictures

What’s funnier than Melissa McCarthy? Melissa McCarthy in ridiculous hair and makeup. And lucky for us, the star dons some crazy-bad (or good, depending on how you look at it) crunchy curls and ’80s-inspired eye shadow, blush and lipstick in her new film, Identity Thief.

“It was so fun to put all that together,” McCarthy said of her character’s beauty choices at the film’s L.A. premiere on Tuesday. But it also was labor-intensive to look that (awesomely) cheesy. “[It took] maybe two hours — an hour and a half [to put it on everyday]. Good drag takes a while!”

To create her character Diana’s signature style, McCarthy started with her frizzy, teased and permed mane. “I’m obsessed with wigs, so I started there and once I sort of locked into [a hairstyle], it was kind of more is more [when it came to makeup],” she told reporters.

When it came to Diana’s over-the-top purple and blue eyeshadow, McCarthy looked to an old soap star for inspiration. “I kept saying, ‘Donna Mills’s eyes!’ So we just kept piling [makeup] on, and then one day [the character] appeared.”

McCarthy’s reaction when she finally saw herself as the identity thief? “I thought, I’d like to spend a couple of months with her!” Tell us: Are you excited to see McCarthy’s new movie?

–Jennifer Cress, reporting by Melody Chiu

PHOTOS: SEE MORE BOLD BEAUTY LOOKS IN ‘OBSESSED OR HOT MESS’

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New whooping cough strain in US raises questions

NEW YORK (AP) — Researchers have discovered the first U.S. cases of whooping cough caused by a germ that may be resistant to the vaccine.

Health officials are looking into whether cases like the dozen found in Philadelphia might be one reason the nation just had its worst year for whooping cough in six decades. The new bug was previously reported in Japan, France and Finland.

"It's quite intriguing. It's the first time we've seen this here," said Dr. Tom Clark of the Centers for Disease Control and Prevention.

The U.S. cases are detailed in a brief report from the CDC and other researchers in Thursday's New England Journal of Medicine.

Whooping cough is a highly contagious disease that can strike people of any age but is most dangerous to children. It was once common, but cases in the U.S. dropped after a vaccine was introduced in the 1940s.

An increase in illnesses in recent years has been partially blamed on a version of the vaccine used since the 1990s, which doesn't last as long. Last year, the CDC received reports of 41,880 cases, according to a preliminary count. That included 18 deaths.

The new study suggests that the new whooping cough strain may be why more people have been getting sick. Experts don't think it's more deadly, but the shots may not work as well against it.

In a small, soon-to-be published study, French researchers found the vaccine seemed to lower the risk of severe disease from the new strain in infants. But it didn't prevent illness completely, said Nicole Guiso of the Pasteur Institute, one of the researchers.

The new germ was first identified in France, where more extensive testing is routinely done for whooping cough. The strain now accounts for 14 percent of cases there, Guiso said.

In the United States, doctors usually rely on a rapid test to help make a diagnosis. The extra lab work isn't done often enough to give health officials a good idea how common the new type is here, experts said.

"We definitely need some more information about this before we can draw any conclusions," the CDC's Clark said.

The U.S. cases were found in the past two years in patients at St. Christopher's Hospital for Children in Philadelphia. One of the study's researchers works for a subsidiary of Johnson & Johnson, which makes a version of the old whooping cough vaccine that is sold in other countries.

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JournaL: http://www.nejm.org

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Stock futures climb ahead of ECB, claims data

NEW YORK (Reuters) - Stock index futures advanced on Thursday, indicating the S&P 500 may rise for a third straight session ahead of a European Central Bank rate decision and data on the U.S. labor market.

The central bank is expected to keep rates unchanged, and the market will give more attention to comments from ECB President Mario Draghi, who will give his views on the region's growth prospects and faces tough questions over the euro's sharp rise and his connection to an Italian banking scandal.

"The ECB will come out and talk about how they are going to have buying programs and all that stuff but this is a danger point for U.S. investors because sometimes traders do pay attention to the woes of Europe," said Kim Forrest, senior equity research analyst, Fort Pitt Capital Group in Pittsburgh.

Economic data due at 8:30 a.m. (1330 GMT) includes weekly jobless claims and preliminary fourth quarter productivity and unit labor costs. Initial claims are expected at 360,000 compared with 368,000 in the prior week. Estimates call for a 1.3 percent fall in productivity while unit labor costs are expected to rise 3.0 percent.

"The unemployment information, it has been interesting how much it's dropped off, but we could have a slowdown in firing, but that doesn't necessarily mean an uptick in hiring."

Recent data has pointed to a modest improvement in the economy, but one without enough strength to cause the Federal Reserve to back off it's easy monetary policy, helping the benchmark S&P index <.spx> climb 6 percent for the year.

S&P 500 futures rose 2.7 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures gained 25 points, and Nasdaq 100 futures added 3.25 points.

Visa Inc's quarterly profit beat analysts' estimates for the ninth consecutive quarter as credit, debit and transactions grew at the world's largest payments network.

Green Mountain Coffee Roasters Inc stumbled 7.2 percent to $45.43 in premarket after forecasting sales growth for the current quarter that was slightly lower than analysts expected.

According to Thomson Reuters data through Wednesday morning, of 301 companies in the S&P 500 that have reported earnings, 68.1 percent have exceeded analysts' expectations, above a 62 percent average since 1994 and 65 percent over the past four quarters. In terms of revenue, 65.8 percent of companies have topped forecasts.

Looking ahead, fourth-quarter earnings for S&P 500 companies are now expected to grow 4.7 percent, according to the data, above a 1.9 percent forecast at the start of the earnings season.

Retailers will also be eyed as they report monthly sales results. Costco Wholesale Corp posted a 4 percent rise in comparable sales in January, marginally above analysts' estimates, despite the largest U.S. warehouse operator having one less sales day in the reporting period.

European shares were little changed after sharp falls the previous day, with any recovery capped by mixed earnings and concerns about economic and political developments in the euro zone. <.eu/>

Asian shares and the euro paused from recent gains as investors awaited the European Central Bank's policy meeting later in the day and Draghi's view on euro zone growth prospects.

(Reporting by Chuck Mikolajczak; Editing by Chizu Nomiyama)

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Tunisian opposition politician shot dead, protests erupt

Tunis (Reuters) - A Tunisian opposition politician was shot dead on Wednesday, sending thousands of protesters onto the streets of the capital and in Sidi Bouzid, the epicenter of uprisings that swept the Arab world and Tunisia's president from power.

Prime Minister Hamadi Jebali, who said the identity of the attacker was not known, condemned the killing of Shokri Belaid outside his Tunis home as a political assassination and a strike against the "Arab Spring" revolution.

Tension has been growing between Islamists and secularists such as Belaid, who was a staunch opponent of the moderate Islamist-led government elected in October 2011.

As news of the killing spread, more than 1,000 protesters gathered outside the Interior Ministry, many calling for the fall of the government elected after their uprising chased out veteran ruler Zine al-Abidine Ben Ali in January 2011.

Protesters also took to the streets in Sidi Bouzid, where jobless university graduate Mohamed Bouazizi set himself on fire in despair after police confiscated his unlicensed fruit cart, triggering protests that toppled the president.

"More than 4,000 are protesting now, burning wheels and throwing stones at the police", Mehdi Horchani a resident from Sidi Bouzid, told Reuters. "There is a great anger."

Tunisia was the first Arab country to oust its leader and hold free elections as uprisings spread around the region two years ago, leading to the ousting of the rulers of Egypt, Yemen and Libya and the civil war in Syria.

Since the revolution the government has faced a string of protests over economic hardship and Tunisia's future path, with many complaining hardline Salafis were hijacking the revolution in a country dominated previously by a secular elite.

Declining trade with the crisis-hit euro zone has left Tunisians struggling to achieve the better living standards many had hoped for following Ben Ali's departure.

President Moncef Marzouki, who last month warned the tension may lead to "civil war", called for calm and cut short a trip to France as well as cancelling a visit to Egypt scheduled for Thursday after the killing.

"We will continue to fight the enemies of the revolution," he told lawmakers at the European Parliament in Strasbourg, to applause.

FRANCE WORRIED BY RISING VIOLENCE

Compounding the political unrest, Tunisia says al Qaeda-linked militants have been accumulating weapons with the aim of creating an Islamic state.

"The murder of Belaid is a political assassination and the assassination of the Tunisian revolution. By killing him they wanted to silence his voice," said Jebali, who heads the government led by the Ennahda party, which won Tunisia's first post-Arab Spring election.

Belaid, who died in hospital, was a leading member of the opposition Popular Front party. A lawyer and human rights activist he had been a constant critic of the government, accusing it of being a puppet of the rulers in Gulf Arab state of Qatar, which Tunisia denies.

"Shokri Belaid was killed today by four bullets to the head and chest ... doctors told us that he has died. This is a sad day for Tunisia," Ziad Lakhader, a leader of the Popular Front, told Reuters.

French President Francois Hollande condemned the shooting, saying he was concerned by the rise of violence in France's former colony.

"This murder deprives Tunisia of one of its most courageous and free voices," Hollande's office said in a statement.

"France is concerned by the mounting political violence in Tunisia and calls for the ideas cherished by the Tunisian people during their revolution to be respected."

TENSION OVER RULE

Marzouki warned last month that the conflict between Islamists and secularists could lead to civil war and called for a national dialogue that included all political shades.

The secular opposition has accused Ennahda of being too close to hardline Salafi groups, while Salafis who complain Ennahda is failing to defend Islamic values. Ennahda rejects the charges from both sides.

Ennahda party won 42 percent of seats in 2011 elections but formed a government in coalition with two secular parties, the president's Congress for the Republic and Ettakatol.

Marzouki's party threatened on Sunday to withdraw from the government unless it dropped two Islamist ministers.

The opposition threatened unspecified retribution for the killing, that Ennahda president Rached Gannouchi condemned as "aimed at the democratic process of democratic transition". ‮‮‮‮‮‮ ‬‬‬‬‬‬ "The opposition will take historic decisions in response to this cowardly act", Maya Jribi secretary-general of the secularist Republican Party.

(Writing by Alison Williams; Editing by Jon Boyle)

(This story was corrected to fix typo in the third paragraph)

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Snoop Dogg Gets the Party Started with Ben Affleck and Jennifer Lawrence

Caught in the Act

02/06/2013 at 06:00 AM EST

Ben Affleck and Jennifer Lawrence, inset: Snoop Lion (Dogg)

Valerie Goodloe/PictureGroup; Frederick M. Brown/Getty

Guess the "O" in "O.G." stands for Oscar.

Ben Affleck and Jennifer Lawrence both attended the Hollywood Reporter's Nominees' Night 2013 at Spago in Beverly Hills on Monday.

It was a low-key affair at first, with Affleck holding court in a central area of the soiree, where he was animated while chatting with people and seemed excited and genuinely happy.

The Argo star and director, looking handsome in a suit, also obliged guests who approached him for photos.

Lawrence was spotted embracing her Silver Linings Playbook costar Julia Stiles. "You're so stunning!" Stiles told Lawrence just before taking a snapshot together.

As the evening continued, it was clear that Lawrence was the darling of event. Fellow guests were going up and telling her she is beautiful and they're so proud of her and Lawrence was ever the gracious guest, chatting with anyone who approached her.

But it wasn't until Snoop Lion (Dogg) arrived, who went by the deejay name Snoopadelic, that the party really went into full gear. After a lengthy intro that included a clip-filled video, Snoop emerged, gave an intro of his own – he praised Argo and shouted for Affleck to come take a photo with him before the night's end – and began playing an eclectic mix of songs, which included everything from Pat Benatar to 2 Chainz.

– Dahvi Shira

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Critics seek to delay NYC sugary drinks size limit

NEW YORK (AP) — Opponents are pressing to delay enforcement of the city's novel plan to crack down on supersized, sugary drinks, saying businesses shouldn't have to spend millions of dollars to comply until a court rules on whether the measure is legal.

With the rule set to take effect March 12, beverage industry, restaurant and other business groups have asked a judge to put it on hold at least until there's a ruling on their lawsuit seeking to block it altogether. The measure would bar many eateries from selling high-sugar drinks in cups or containers bigger than 16 ounces.

"It would be a tremendous waste of expense, time, and effort for our members to incur all of the harm and costs associated with the ban if this court decides that the ban is illegal," Chong Sik Le, president of the New York Korean-American Grocers Association, said in court papers filed Friday.

City lawyers are fighting the lawsuit and oppose postponing the restriction, which the city Board of Health approved in September. They said Tuesday they expect to prevail.

"The obesity epidemic kills nearly 6,000 New Yorkers each year. We see no reason to delay the Board of Health's reasonable and legal actions to combat this major, growing problem," Mark Muschenheim, a city attorney, said in a statement.

Another city lawyer, Thomas Merrill, has said officials believe businesses have had enough time to get ready for the new rule. He has noted that the city doesn't plan to seek fines until June.

Mayor Michael Bloomberg and other city officials see the first-of-its-kind limit as a coup for public health. The city's obesity rate is rising, and studies have linked sugary drinks to weight gain, they note.

"This is the biggest step a city has taken to curb obesity," Bloomberg said when the measure passed.

Soda makers and other critics view the rule as an unwarranted intrusion into people's dietary choices and an unfair, uneven burden on business. The restriction won't apply at supermarkets and many convenience stores because the city doesn't regulate them.

While the dispute plays out in court, "the impacted businesses would like some more certainty on when and how they might need to adjust operations," American Beverage Industry spokesman Christopher Gindlesperger said Tuesday.

Those adjustments are expected to cost the association's members about $600,000 in labeling and other expenses for bottles, Vice President Mike Redman said in court papers. Reconfiguring "16-ounce" cups that are actually made slightly bigger, to leave room at the top, is expected to take cup manufacturers three months to a year and cost them anywhere from more than $100,000 to several millions of dollars, Foodservice Packaging Institute President Lynn Dyer said in court documents.

Movie theaters, meanwhile, are concerned because beverages account for more than 20 percent of their overall profits and about 98 percent of soda sales are in containers greater than 16 ounces, according to Robert Sunshine, executive director of the National Association of Theatre Owners of New York State.

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Follow Jennifer Peltz at http://twitter.com/jennpeltz

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Stock futures edge higher with earnings in focus

NEW YORK (Reuters) - Stock index futures rose on Wednesday, adding to the benchmark S&P 500's rally of more than 1 percent a day earlier, buoyed by solid corporate earnings and an optimistic outlook from Disney.

Walt Disney Co beat estimates for quarterly adjusted earnings and said it expected the next few quarters to be better due to a stronger lineup of movies and rising attendance at its theme parks. Shares advanced 3.2 percent to $56.03 in light premarket trading.

With a lack of economic catalysts on Wednesday, investor focus has turned to an earnings season that has been better than anticipated.

According to Thomson Reuters data through Tuesday morning, of the 278 companies in the S&P 500 <.spx> that have reported earnings, 68.7 percent have beat analysts' expectations, above a 62 percent average since 1994 and 65 percent over the past four quarters.

In another positive sign, sixty-six percent of companies have topped revenue forecasts. Fourth-quarter earnings for S&P 500 companies are now expected to rise 4.5 percent, according to the data, above the 1.9 percent forecast at the start of earnings season.

S&P 500 futures rose 1.6 points and were slightly above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures gained 42 points, and Nasdaq 100 futures added 0.75 points.

The benchmark S&P index rose 1.04 percent Tuesday, its biggest percentage gain since a 2.5-percent advance on January 2, when legislators sidestepped a "fiscal cliff" of spending cuts and tax hikes that could have hurt a fragile U.S. economic recovery.

Visa , the world's largest credit and debit card network, is expected to report earnings per share of $1.79 for its first quarter, up from $1.49 a year earlier. Smaller rival MasterCard recently reported better-than-expected results but said its revenue growth could slow in the first half of the year due to economic uncertainty.

Zynga Inc jumped 6.9 percent to $2.93 in premarket trading after the online gaming company reported an unexpected fourth-quarter profit, following steep cost cuts and shifting forward deferred revenue.

European stocks rose, extending the previous session's recovery with an upbeat outlook from ArcelorMittal reassuring investors. <.eu/>

Asian shares rose, with Japanese equities climbing to their highest since October 2008 on hopes of central bank monetary policy easing and optimism about the prospects for a global economic recovery.

(Editing by Bernadette Baum)

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Iran's Ahmadinejad in Egypt on historic visit

CAIRO (Reuters) - Mahmoud Ahmadinejad arrived in Egypt on Tuesday on the first trip by an Iranian president since the 1979 revolution, underlining a thaw in relations since Egyptians elected an Islamist head of state.

President Mohamed Mursi, the Muslim Brotherhood politician elected in June, kissed Ahmadinejad as he disembarked from his plane at Cairo airport. The leaders walked down a red carpet, Ahmadinejad smiling as he shook hands with waiting dignitaries.

Visiting Cairo to attend an Islamic summit that begins on Wednesday, the president of the Shi'ite Islamist republic is due to meet later on Tuesday with the grand sheikh of al-Azhar, one of the oldest seats of learning in the Sunni world.

Such a visit would have been unthinkable during the rule of Hosni Mubarak, the military-backed autocrat who preserved Egypt's peace treaty with Israel during his 30 years in power and deepened ties between Cairo and the West.

"The political geography of the region will change if Iran and Egypt take a unified position on the Palestinian question," Ahmadinejad said in an interview with Al Mayadeen, a Beirut-based TV station, on the eve of his visit.

He said he wanted to visit the Gaza Strip, the Palestinian territory which neighbors Egypt to the east and is run by the Islamist movement Hamas. "If they allow it, I would go to Gaza to visit the people," Ahmadinejad said.

Analysts doubt that the historic changes that brought Mursi to power in Egypt will result in a full restoration of diplomatic ties between states whose relations were broken off after the Iranian revolution and the conclusion of Egypt's peace treaty with Israel in 1979.

OBSTACLES TO FULL TIES

At the airport the two leaders discussed ways of boosting relations between their countries and resolving the Syrian crisis "without resorting to military intervention", Egyptian state media reported.

Egypt is concerned by Iran's support for Syrian President Bashar al-Assad, who is trying to crush an uprising inspired by the revolt that swept Mubarak from power two years ago. Egypt's overwhelmingly Sunni Muslim population is broadly supportive of the uprising against Assad's Alawite-led administration.

The Mursi administration also wants to safeguard relations with Gulf Arab states that are supporting Cairo's battered state finances and are deeply suspicious of Iran.

Egyptian Foreign Minister Mohamed Kamel Amr reassured Gulf Arab allies that Egypt would not jeopardize their security.

"The security of the Gulf states is the security of Egypt," he told the official MENA news agency, in response to questions about Cairo's opening to Iran and its impact on other states in the region.

Mursi wants to preserve ties with the United States, the source of $1.3 billion in aid each year to the influential Egyptian military.

His government has established close ties with Hamas, a movement backed by Iran and shunned by the West because of its hostility to Israel, but its priority is addressing Egypt's deep economic problems.

"The restoration of full relations with Iran in this period is difficult, despite the warmth in ties ... because of many problems including the Syrian crisis and Cairo's links with the Gulf states, Israel and the United States," said one former Egyptian diplomat.

Speaking to Reuters on the sidelines of preparatory meetings for the two-day Islamic summit, Iranian Foreign Minister Ali Akbar Salehi said he was optimistic that ties could grow closer.

"We are gradually improving. We have to be a little bit patient. I'm very hopeful about the expansion of the bilateral relationship," he said. Asked where he saw room for closer ties, he said: "Trade and economics."

Ahmadinejad's visit to Egypt follows Mursi's visit to Iran in August for a summit of the Non-Aligned Movement.

Sheikh Ahmed al-Tayeb, head of the 1,000-year-old al-Azhar mosque and university, will meet Ahmadinejad at his offices in mediaeval Islamic Cairo, al-Azhar's media office said.

Salehi, the Iranian foreign Minister, stressed the importance of Muslim unity when he met Sheikh al-Tayeb at al-Azhar last month.

Egypt and Iran have taken opposite courses since the late 1970s. Egypt, under Mubarak's predecessor Anwar Sadat, concluded a peace treaty with Israel in 1979 and became a close ally of the United States and Europe. Iran from 1979 turned into a center of opposition to Western influence in the Middle East.

Symbolically, Iran named a street in Tehran after the Islamist who led the 1981 assassination of Sadat.

Egypt gave asylum and a state funeral to Iran's exiled Shah Reza Pahlavi, who was overthrown by the 1979 Iranian revolution. He is buried in a medieval Cairo mosque alongside his ex-brother-in-law, Egypt's last king, Farouk.

(Additional reporting by Ayman Samir and Alexander Diadosz; Editing by Andrew Roche and Paul Taylor)

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Eva Longoria Reveals Valentine's Day (and Upcoming Birthday!) Plans

Caught in the Act

02/05/2013 at 06:00 AM EST

Eva Longoria

Denise Truscello/WireImage

Eva Longoria already knows what she'll be doing on Valentine's Day.

The actress visited the new restaurant and nightclub, She by Morton's, in Las Vegas – in which she is a part owner – on Saturday night, and revealed what's on her agenda for the heartfelt holiday.

"Eva said she would be spending Valentine's Day with her girlfriends – like she always does," a source tells PEOPLE. But that's not the only thing on her agenda. The former Desperate Housewives star also said she's also made plans for her March birthday.

"She's taking a charity trip to South America, which she is really excited about," the source says. "She joked that you shouldn't celebrate birthdays after a certain age because we don't want to remind people how old we are!"

– Patrick Gomez

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Bullying study: It does get better for gay teens

CHICAGO (AP) — It really does get better for gay and bisexual teens when it comes to being bullied, although young gay men have it worse than their lesbian peers, according to the first long-term scientific evidence on how the problem changes over time.

The seven-year study involved more than 4,000 teens in England who were questioned yearly through 2010, until they were 19 and 20 years old. At the start, just over half of the 187 gay, lesbian and bisexual teens said they had been bullied; by 2010 that dropped to 9 percent of gay and bisexual boys and 6 percent of lesbian and bisexual girls.

The researchers said the same results likely would be found in the United States.

In both countries, a "sea change" in cultural acceptance of gays and growing intolerance for bullying occurred during the study years, which partly explains the results, said study co-author Ian Rivers, a psychologist and professor of human development at Brunel University in London.

That includes a government mandate in England that schools work to prevent bullying, and changes in the United States permitting same-sex marriage in several states.

In 2010, syndicated columnist Dan Savage launched the "It Gets Better" video project to encourage bullied gay teens. It was prompted by widely publicized suicides of young gays, and includes videos from politicians and celebrities.

"Bullying tends to decline with age regardless of sexual orientation and gender," and the study confirms that, said co-author Joseph Robinson, a researcher and assistant professor of educational psychology at the University of Illinois in Urbana-Champaign. "In absolute terms, this would suggest that yes, it gets better."

The study appears online Monday in the journal Pediatrics.

Eliza Byard, executive director of the Gay, Lesbian & Straight Education Network, said the results mirror surveys by her anti-bullying advocacy group that show bullying is more common in U.S. middle schools than in high schools.

But the researchers said their results show the situation is more nuanced for young gay men.

In the first years of the study, gay boys and girls were almost twice as likely to be bullied as their straight peers. By the last year, bullying dropped overall and was at about the same level for lesbians and straight girls. But the difference between men got worse by ages 19 and 20, with gay young men almost four times more likely than their straight peers to be bullied.

The mixed results for young gay men may reflect the fact that masculine tendencies in girls and women are more culturally acceptable than femininity in boys and men, Robinson said.

Savage, who was not involved in the study, agreed.

"A lot of the disgust that people feel when you bring up homosexuality ... centers around gay male sexuality," Savage said. "There's more of a comfort level" around gay women, he said.

Kendall Johnson, 21, a junior theater major at the University of Illinois, said he was bullied for being gay in high school, mostly when he brought boyfriends to school dances or football games.

"One year at prom, I had a guy tell us that we were disgusting and he didn't want to see us dancing anymore," Johnson said. A football player and the president of the drama club intervened on his behalf, he recalled.

Johnson hasn't been bullied in college, but he said that's partly because he hangs out with the theater crowd and avoids the fraternity scene. Still, he agreed, that it generally gets better for gays as they mature.

"As you grow older, you become more accepting of yourself," Johnson said.

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Online:

Pediatrics: http://www.pediatrics.org

It Gets Better: http://www.itgetsbetter.org

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AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner

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Stock futures indicate rebound from recent sell-off

NEW YORK (Reuters) - Stock index futures advanced on Tuesday retracing ground lost the prior day, indicating that Wall Street would rebound off its worst daily session since November.

Major averages dropped about 1 percent on Monday, pressured by renewed worries over the euro zone's sovereign debt crisis. While the day's decline pushed the S&P 500 into negative territory for February, equities have been strong performers of late, and the benchmark index is up 4.9 percent for 2013.

Wall Street has advanced on strong fourth-quarter earnings and signs of improved economic growth, suggesting the market's longer-term trend remains higher.

"Markets may have been slightly ahead of themselves, but investors recognize that earnings and data are both more positive than we previously thought, so no one should worry that yesterday was the start of anything bigger," said Oliver Purshe, president of Gary Goldberg Financial Services in Suffern, New York.

Archer Daniels Midland , Walt Disney Co and Kellogg Co are among the companies on tap to report on Tuesday. According to Thomson Reuters data, of the 256 S&P 500 companies that have reported earnings thus far, 68.4 percent have beaten profit expectations, compared with the 62 percent average since 1994 and the 65 percent average over the past four quarters.

Fourth-quarter earnings for S&P 500 companies are expected to rise 4.4 percent, according to the data. That estimate is above the 1.9 percent forecast at the start of earnings season, but well below the 9.9 percent forecast on October 1.

S&P 500 futures rose 7.2 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures added 69 points and Nasdaq 100 futures rose 11.5 points.

At current levels, the S&P is about 5.4 percent away from its all-time intraday high of 1,576.09, reached in October 2011.

Investors will also be looking to the Institute for Supply Management's January non-manufacturing index, due at 10 a.m. Economists forecast a reading of 55.2, versus 55.7 in December.

Last week, the ISM's manufacturing index for January showed the pace of growth in manufacturing picked up to its highest level in nine months.

In company news, McGraw-Hill will be in focus a day after news the U.S. Justice Department plans to sue the company's Standard & Poor's unit over its mortgage bond ratings. The action would mark the first such federal action against a credit rating agency related to the recent financial crisis.

The stock plummeted almost 14 percent in Monday's session, its worst daily losses since the October 1987 market crash.

U.S. shares of BP Plc rose 1.9 percent to $44.49 before the bell after the company reported earnings that beat expectations and said underlying financial momentum would be "strongly evident" by 2014.

Dell Inc may also be volatile as the company moved closer to a nearly $24 billion buyout deal to take the company private. The stock rose 1.1 percent to $13.42 in light premarket trading.

U.S. stocks slid on Monday as worries about Europe caused the market to pull back from recent gains.

(Editing by Theodore d'Afflisio)

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Mali Tuaregs seize two Islamist leaders fleeing French strikes

KIDAL, Mali (Reuters) - Tuareg rebels in northern Mali said on Monday they had captured two senior Islamist insurgents fleeing French air strikes toward the Algerian border, and France pressed ahead with its bombing campaign against al Qaeda's Saharan desert camps.

Pro-autonomy Tuareg MNLA rebels said they had seized Mohamed Moussa Ag Mohamed, an Islamist leader who imposed harsh sharia law in the desert town of Timbuktu, and Oumeini Ould Baba Akhmed, believed to be responsible for the kidnapping of a French hostage by the al Qaeda splinter group MUJWA.

"We chased an Islamist convoy close to the frontier and arrested the two men the day before yesterday," Ibrahim Ag Assaleh, spokesman for the MNLA, told Reuters from Ouagadougou in Burkina Faso. "They have been questioned and sent to Kidal."

France has deployed 3,500 ground troops, and warplanes and armored vehicles in its three-week-old Operation Serval (Wildcat) in Mali which has broken the Islamists' 10-month grip on northern towns, where they imposed sharia law.

Paris and its international partners want to prevent the Islamists from using Mali's vast desert north as a base to launch attacks on neighboring African countries and the West.

The MNLA, which seized control of northern Mali last year only to be pushed aside by better-armed Islamist groups, regained control of its northern stronghold of Kidal last week when Islamist fighters fled French airstrikes into the nearby desert and rugged Adrar des Ifoghas mountains.

The Tuareg group says it is willing to help the French-led mission by hunting down Islamists. It has offered to hold peace talks with the government in a bid to heal wounds between Mali's restive Saharan north and the black African-dominated south.

"Until there is a peace deal, we cannot hold national elections," Ag Assaleh said, referring to interim Malian President Dioncounda Traore's plan to hold polls on July 31.

Many in the southern capital Bamako - including army leaders who blame the MNLA for executing some of their troops at the Saharan town of Aguelhoc last year - strongly reject any talks.

French special forces took the airport in Kidal on Tuesday, reaching the most northern city previously held by the Islamist alliance. Though the MNLA says it controls Kidal, a Reuters reporter in the town saw a contingent of Chadian troops - part of a U.N.-backed African mission being deployed to help retake northern Mali - backing up French special forces there.

TARGETING REBEL BASES, DEPOTS

French Foreign Minister Laurent Fabius said warplanes were continuing bombing raids on Islamists in Mali's far north to destroy their supply lines and flush them out of remote areas.

"The objective is to destroy their support bases, their depots because they have taken refuge in the north and north-east of the country and can only stay there in the long-term if they have the means to sustain themselves," Fabius said.

"The army is working to stop that," he told French radio.

Jets attacked rebel camps on Sunday targeting logistics bases and training camps used by the al Qaeda-linked rebels near Tessalit, close to the Algerian border.

French President Francois Hollande made a one-day trip to Mali on Saturday, promising to keep troops in the country until the job of restoring government control in the Sahel state was finished. He was welcomed as a savior by cheering Malians.

The rebels' retreat to hideouts in the remote Adrar des Ifoghas mountains - where Paris believes they are holding seven French hostages - heralds a potentially more complicated new phase of France's intervention in its former colony.

"We are still in the same war, but we're entering a new battle," said Vincent Desportes, a French former general and now associate professor at Science-Po university in Paris.

"We will look to gradually wear out and destroy the terrorists that are sheltering in the Ifoghas. It's now a war of intelligence (services), strikes and probably action by special forces in the background."

Hollande said on Saturday that Paris would withdraw its troops from Mali once the landlocked West African nation had restored sovereignty over its territory and a U.N.-backed African military force could take over from the French soldiers.

Drawn mostly from Mali's West African neighbours, this force is expected to number more than 8,000. But its deployment has been badly hampered by shortages of kit and airlift capacity and questions about who will fund the estimated $1 billion cost.

Fabius said French soldiers may soon pull back from Timbuktu. Its residents had celebrated their liberation from the Islamists, who had handed down punishments including whipping and amputation for breaking sharia law.

The rebels also smashed sacred Sufi mausoleums and destroyed or stole some 2,000 ancient manuscripts at the South African-sponsored Baba Ahmed Institute, causing international outcry.

"A withdrawal could happen very quickly," Fabius said. "We're working towards it because we have no desire to stay there for the long-term.

(Additional reporting by John Irish in Paris, Daniel Flynn in Dakar and David Lewis in Timbuktu; Writing by Daniel Flynn; Editing by Pascal Fletcher and Jon Boyle)

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Estonian pleads guilty in U.S. court to Internet advertising scam

NEW YORK (Reuters) – An Estonian man pleaded guilty on Friday in U.S. federal court for his role in a massive Internet scam that targeted well-known websites such as iTunes, Netflix and The Wall Street Journal.

The scheme infected at least four million computers in more than 100 countries, including 500,000 in the United States, with malicious software, or malware, according to the indictment. It included a large number of computers at data centers located in New York, federal prosecutors said.

Valeri Aleksejev, 32, was the first of six Estonians and one Russian indicted in 2011 to enter a plea. They were indicted on five charges each of wire and computer intrusion. One of the defendants, Vladimir Tsastsin, was also charged with 22 counts of money laundering.

In U.S. District Court in Manhattan on Friday, Aleksejev pleaded guilty to conspiracy to commit wire fraud and conspiracy to commit computer intrusion. He faces up to 25 years in prison, deportation and the forfeiture of $ 7 million.

The scam had several components, including a “click-hijacking fraud” in which the malware re-routed searches by users on infected computers to sites designated by the defendants, prosecutors said in the indictment. Users of infected computers trying to access Apple Inc’s iTunes website or Netflix Inc‘s movie website, for example, instead ended up at websites of unaffiliated businesses, according to the indictment.

Another component of the scam replaced legitimate advertisements on websites operated by News Corp’s The Wall Street Journal, Amazon.com Inc and others with advertisements that triggered payments for the defendants, prosecutors said.

The defendants reaped at least $ 14 million from the fraud, prosecutors said. However, Aleksejev’s lawyer, William Stampur, said in court on Friday that Aleksejev has no assets.

Estonian police arrested Aleksejev and the other Estonians in November 2011. One other Estonian, Anton Ivanov, has been extradited, and the extradition of the other four is pending, according to the U.S. Attorney’s office in Manhattan. The Russian, Andrey Taame, remains at large, according to the U.S. Attorney’s office.

Aleksejev told Magistrate Judge James Francis he assisted in blocking anti-virus software updates on infected computers. Francis asked Aleksejev if he knew what he was doing was illegal.

“I thought it was wrong,” Aleksejev said in broken English after a long pause. “But of course I didn’t know all the laws in the U.S.”

Francis set a tentative sentencing date of May 31 for Aleksejev.

The case is USA v. Tsastsin et al, U.S. District Court in Manhattan, No. 11-00878.

(Reporting by Bernard Vaughan; Editing by Dan Grebler)

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What Football Game? Beyoncé Rocks the Superdome in Leather & Lace

Stylewatch
Style News Now

02/03/2013 at 09:06 PM ET

One thing was certain going into Super Bowl XLVII: Beyoncé was going to put on a killer halftime show, and she was going to look amazing doing it. And if she practiced until her feet bled, there was no sign of it as she danced in her towering heels.

To strut out onstage during ‘Crazy In Love,’ the star wore a belted “liquid nylon” mini with a matching moto jacket by Rubin Singer, but she quickly tore it away to reveal a leather bodysuit with a black lace skirt (also by the designer) worn over her signature fishnets. She completed the look with thigh-highs and sexy black booties.

Destiny’s Child fans missing the trio’s epic matching outfits were given a treat when Kelly Rowland and Michelle Williams proved the rumors true, joining Beyoncé onstage for a medley that included ‘Bootylicious’ and ‘Single Ladies.’ Their costumes echoed Bey’s: Rowland wore a revealing V-neck Emilio Pucci bodysuit, while Williams was glam in a tough-girl ribbed leather mini by Rubin Singer (who also created looks for all 120 backup dancers).

And to ensure that Beyoncé’s hair was supremely whip-able (as demonstrated during ‘Baby Boy’ and ‘Halo’), stylist Kim Kimble gave her a “soft glam” look by curling it, then brushing out the curls and smoothing them with Kimble Hair Care Brazilian Nut and Acai serum. She sprayed it with L’Oréal’s classic Elnett hairspray to ensure it wouldn’t budge no matter what the superstar put it through.

Tell us: What did you think of Beyoncé’s Super Bowl outfit — and the Destiny’s Child reunion looks?

–Alex Apatoff

PHOTOS: VOTE ON MORE STAR STYLE HERE!

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Bullying study: It does get better for gay teens

CHICAGO (AP) — It really does get better for gay and bisexual teens when it comes to being bullied, although young gay men have it worse than their lesbian peers, according to the first long-term scientific evidence on how the problem changes over time.

The seven-year study involved more than 4,000 teens in England who were questioned yearly through 2010, until they were 19 and 20 years old. At the start, just over half of the 187 gay, lesbian and bisexual teens said they had been bullied; by 2010 that dropped to 9 percent of gay and bisexual boys and 6 percent of lesbian and bisexual girls.

The researchers said the same results likely would be found in the United States.

In both countries, a "sea change" in cultural acceptance of gays and growing intolerance for bullying occurred during the study years, which partly explains the results, said study co-author Ian Rivers, a psychologist and professor of human development at Brunel University in London.

That includes a government mandate in England that schools work to prevent bullying, and changes in the United States permitting same-sex marriage in several states.

In 2010, syndicated columnist Dan Savage launched the "It Gets Better" video project to encourage bullied gay teens. It was prompted by widely publicized suicides of young gays, and includes videos from politicians and celebrities.

"Bullying tends to decline with age regardless of sexual orientation and gender," and the study confirms that, said co-author Joseph Robinson, a researcher and assistant professor of educational psychology at the University of Illinois in Urbana-Champaign. "In absolute terms, this would suggest that yes, it gets better."

The study appears online Monday in the journal Pediatrics.

Eliza Byard, executive director of the Gay, Lesbian & Straight Education Network, said the results mirror surveys by her anti-bullying advocacy group that show bullying is more common in U.S. middle schools than in high schools.

But the researchers said their results show the situation is more nuanced for young gay men.

In the first years of the study, gay boys and girls were almost twice as likely to be bullied as their straight peers. By the last year, bullying dropped overall and was at about the same level for lesbians and straight girls. But the difference between men got worse by ages 19 and 20, with gay young men almost four times more likely than their straight peers to be bullied.

The mixed results for young gay men may reflect the fact that masculine tendencies in girls and women are more culturally acceptable than femininity in boys and men, Robinson said.

Savage, who was not involved in the study, agreed.

"A lot of the disgust that people feel when you bring up homosexuality ... centers around gay male sexuality," Savage said. "There's more of a comfort level" around gay women, he said.

Kendall Johnson, 21, a junior theater major at the University of Illinois, said he was bullied for being gay in high school, mostly when he brought boyfriends to school dances or football games.

"One year at prom, I had a guy tell us that we were disgusting and he didn't want to see us dancing anymore," Johnson said. A football player and the president of the drama club intervened on his behalf, he recalled.

Johnson hasn't been bullied in college, but he said that's partly because he hangs out with the theater crowd and avoids the fraternity scene. Still, he agreed, that it generally gets better for gays as they mature.

"As you grow older, you become more accepting of yourself," Johnson said.

___

Online:

Pediatrics: http://www.pediatrics.org

It Gets Better: http://www.itgetsbetter.org

___

AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner

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